VISA – Initial Public Offering

Once Dee Hock coined the word VISA in 1975, this individual foresaw a future and initial public offering. The service has gained global acceptance and acted as an unification of BankAmericard, Braclaycard, Chargex and other licensees. True to his vision, VISA became and continues to be the synonym for payment technology and credit card companies across the world. With all the growing popularity of the brand, the name was later converted to a recursive acronym, VISA (VISA International Service Association). Prior to going public in August 2007, VISA consisted of four non-stock companies included separately: VISA International Services Association (VISA), VISA Circumstance. S. A. Inc., AUSTRALIAN VISA Canada Association and VISA FOR AUSTRALIA Europe Ltd. In overdue 2006, VISA announced the decision becoming a publicly dealt company, VISA Inc. after merging the four sections mentioned above in an attempt to venture exterior European boundaries. CEO

This reorganization, rearrangement, reshuffling was the first step towards one of the most significant and high account US initial public attractions. Within a year after its rival credit-based card company, MasterCard filed for an initial public offering and simply month after the reorganization, rearrangement, reshuffling of VISA was complete, VISA Inc. filed for a $10 billion preliminary public offering with the Securities and Exchange Percentage. A $2. 1 billion dollars settlement with American Exhibit Co over an antitrust lawsuit is seen as another reason for this decision. However, the market scenario currently was anything but positive. The investor self confidence was at a great time low thanks to the collapse of respected banking companies such as Bear Sterns. 

The entry of AUSTRALIAN VISA in the market was highly anticipated due to the possible positive impact on the market and on the banks which co-owned VISA. In March 08, VISA went public with half of its stocks and shares priced between $37 and $42. Ultimately, 406 mil shares were bought at $44 per share, $2 above the high point raising $17. 9 billion dollars. This remained the most significant initial public offering in the of United Areas until General Motors substituted it this year. After underwriters such as JP Morgan, Goldman Sachs, & Company purchased additional shares using the over-allotment option, the count rose to 446. 6 million shares with a capital of $19. 1 billion.

As a result of this success, the investor’s confidence in the market was reinstated. Moreover, the initial general population offering also provided VISA FOR AUSTRALIA with enough capital to venture into newer market segments such as Asia, the center East and Asian America which were even more green pastures in comparison to the saturated market segments of the U. S i9000. and the U. P. Currently, the ‘V’ ticker symbol on the NEW YORK STOCK EXCHANGE continues to be strong and steady.